Domestic rebar prices in Italy have increased compared to last Tuesday, rising from the €420-430/mt ($496-507/mt) level to the current €430-445/mt ($507-525/mt) level, both ex-works. The increase in prices in the Italian market continues to be supported by the recent rising trend of scrap prices and by the shortage of rebar in the Italian market, though demand has remained slack. Sources believe that prices will now trend sideways until the end of the summer holidays, i.e., until late August.
Meanwhile, at the end of last week Milan Chamber of Commerce decided to suspend its regular official steel price survey as a protective measure against the backdrop of the recent decision of the Italian Competition Authority to fine eight Italian companies for setting up a cartel in the concrete reinforcing bar and mesh sector. The Milan Chamber of Commerce price survey had replaced that of Brescia Chamber of Commerce, which had suspended its price survey for a similar reason in February 2016. Market sources think that this latest suspension will give rise to confusion among rebar market players since the Milan Chamber of Commerce data had been used as the basis for most contracts in the downstream market.
€1 = $1.18